A note on defining organisational systems for contingency theory in OM

Abstract

This paper aims to improve the applicability and relevance of contingency theory research in the field of Operations Management. Based on the results of previous studies, we have identified a systems-based single definition of organisation types that could describe the fit between organisational environment and organisational structure. This definition of organisation type, which we call an ‘organisational system’, regards the organisation as an integrated whole instead of as a sum of its parts and can help to better classify organisations in order to identify fits between organisation types and emerging practices in Operations Management.     

Organisation structure,management style and company performance

This paper examines the relationship between organisation structure and management style and their influence on organisational effectiveness measured in both ‘human’ and financial terms. Account has also been taken of related contextual factors such as differences in task, size and environment of a company. Using information collected from a sample of fifty small and medium size printing and building firms the authors have elaborated a conceptual model involving the independent attributes; integration, control, task orientation and people orientation. The validity of this model has been operationally tested and examined against the background of evidence reported by other research workers on the contextual determinants of organisational structure and management style. Substantially different patterns of association between ‘organisation’ and ‘style’ and company performance are found for the two industries and an important outcome of the research has been to produce further evidence in favour of the contingency theory of organisation. The paper concludes with some implications for management practice and organisational design.     

Informal Mentoring as an Organisational Resource

Mentoring is a mechanism for supporting junior managers but until now little research on the benefits to the organisation has been reported. This paper reports on a survey of managers in a UK local government authority to ascertain their views of the benefits of informal mentoring to the organisation. Both mentors and protégés perceived mentoring as investment in a future pool of managers and a tool for the management of change. Mentoring was also seen as assisting in the transfer of knowledge, organisational learning and cross-departmental communication—in other words, as nodes in an information network. Further research is suggested into mentoring as a micro-level knowledge-producing community of practice. As informal mentoring is likely to bring longer-term advantages to the organisation, the paper also discusses how to capture the benefits of informal mentoring when designing formal schemes.     

The relationship between organisational change and being a perpetrator of workplace bullying: A three-wave longitudinal study

ABSTRACT

While research has unravelled the association between organisational change and being a target of workplace bullying, scholars have still to shed light on the perpetrator perspective of this association. In the current study, we further the literature by investigating the relationship between exposure to organisational change and being a perpetrator of workplace bullying. We introduced perceptions of psychological contract breach as a mechanism that accounts for the process in which exposure to organisational change leads employees to direct bullying behaviours to other members of the organisation. Using three-wave longitudinal data from 1994 employees we estimated a between-subjects mediation model controlling for autoregressive effects. Results confirmed our hypothesis that exposure to organisational change at Time 1 was positively related to being a perpetrator of workplace bullying at Time 3 through perceptions of psychological contract breach at Time 2. These findings suggest that organisations should invest in factors that lower employees’ likelihood to perceive psychological contract breach in the aftermath of organisational change because these perceptions may indeed result in the enactment of workplace bullying towards other members of the organisation.     

Linking organisational commitment with continuous learning through peripheral vision and procedural memory

Under some circumstances such as the lack of commitment of peers or the imposition of excessive authority, many employees tend to turn a blind eye to either the development of new, more effective procedures or recognise that new or modified customer needs have developed. In these situations, organisational commitment is a preliminary step not only to the effective implementation of current procedures but also to questioning values of the organisation and future needs of customers. This study proposes that organisational commitment helps alleviate these problems by maintaining an ambidextrous perspective between procedural memory and peripheral vision to promote continuous learning. This research has therefore been conducted to explain both conceptually and empirically how peripheral vision could interact with and influence procedural memory, and hence facilitate continuous learning (CL) within the business. While peripheral vision is often associated with developing and supporting knowledge structures for the exploration of new opportunities and with identifying and addressing new clients, many consider these knowledge structures as examples of organisational routines and procedures, and thus as aspects of the ‘procedural memory’ of an organisation. To contribute to the understanding of these relationships, this study addresses two questions: (1) Are outcomes of CL processes within the organisation determined by the presence of organisational procedural memory – both skills and knowledge, and (2) Does an improved peripheral vision result in higher levels of learning? After using PLS-SEM on a sample of 203 employees of Spanish banks, our findings support the theory that peripheral vision facilitates the emergence of new and unconventional behaviours within a culture, which in turn has a positive effect on the firm’s continuous learning.     

Pioneering Process Research: Andrew Pettigrew's Contribution to Management Scholarship, 1962–2014

This paper assesses Andrew Pettigrew's contribution to management scholarship. This review addresses the process, content, and context of his research career. Chronologically, the process will be subdivided into three distinct phases: the period leading up to the establishment of the Centre for Corporate Strategy and Change, Pettigrew's time with the Centre, and Pettigrew's research since leaving the Centre. The content of Pettigrew's research focussed on big problems and emerging phenomena such as decision‐making, organisational culture, organisation development, strategic change, human resource management, competitiveness, new public management, boards of directors, innovative forms of organising, high‐performing research teams, and business schools. His contextualist methodology for process research will be explicated. Pettigrew's contribution will be contextualised by comparing it with contemporary research. The paper concludes that there is still a need not only to examine big problems and emerging phenomena but also to provide a processual understanding of management reality. There is a need to further develop process research methodologies such as Pettigrew's contextualism, especially with respect to process research methods.     

Research into the psychological contract: Two Australian perspectives

Despite their increasing relevance, employees' psychological contracts have attracted little research attention in Australia. The present paper presents two studies, which examined the psychological contracts of specific cohorts of professional employees and those in a managerial career track. The first study was an in-depth qualitative investigation of research scientists in an Australian public sector research organisation. They were found to have a strong professional affiliation and had developed psychological contracts that were best understood by reference to the ‘ideological currency’ of the scientific community. The second study was a quantitative examination of 156 MBA students at an Australian university, and how their psychological contracts could be related to perceptions of the contextual variables of organisational justice, perceived organisational support and external employability. Organisational justice and perceived organisational support were found to be related to the nature of the psychological contracts measured, but perceptions of external employability were not.     

Organising environmental scanning: Exploring information source,mode and the impact of firm size

Recent research on environmental scanning has shown it to be an important part of many organisational processes related to strategy. A fundamental aspect of scanning behaviour is the mode or channel through which information is gathered. Existing research on mode selection and source use has suggested that managers prefer to use personal sources that are either internal to or external to the organisation depending on context. What is not clear, however, is why one source may be preferred to another and how different scanning modes might complement each other. We explore these issues through the collection and analysis of interview data from seven organisations of widely differing sizes. Using the organisation itself as the unit of analysis, we offer a number of theoretical contributions concerned with mode and source use in environmental scanning activity. We find that quality of information source may be less important in explaining source use than previous studies suggest. We also uncover heavy reliance on internal reporting on the environment, compiled using multiple channels, in larger companies. Furthermore, we present a variety of instances where scanning modes were used to complement one another in different ways, the patterns changing according to organisation size. Our findings, while exploratory and theoretical in nature, also have practical implications for growing organisations that wish to ensure their environment is scanned as effectively as possible.     

Knowledge versus learning in internationalization of offshoring activities in China: A case study

This paper deals with the role of existing knowledge in the learning process of the internationalizing organisation. Using an organisational routine approach to organisational knowledge, the paper explores the dual role of pre-existing knowledge in internationalisation. Organisational learning is guided by pre-existing knowledge but is also providing a hindrance to further knowledge development. Experiential learning may challenge existing assumptions in the firm which trigger organisational resistance. The empirical context of the study consists of two in-depth case studies of offshoring activities in China.     

The influence of top management support for ICTs on organisational performance through knowledge acquisition,transfer, and utilisation

This research analyses, first, whether top management support for information and communications technologies has positive consequences for knowledge management by analysing the specific influence of top management support for ICTs on each of the knowledge management processes (knowledge acquisition, transfer, and utilisation). Second, it analyses the influence of each knowledge management process on organisational performance. The theoretical model is tested using data collected from March to May 2010 from 201 CEOs in Spanish technology organisations. The results indicate that the stage-based disaggregation of the knowledge management process into knowledge acquisition, transfer, and utilisation, and the three-stage management process are the mediating mechanisms in the relationship between top management support for ICTs and organisational performance. CEOs should thus support the information and communication technologies necessary to improve all of the interrelated stages of knowledge management as a mechanism for achieving better organisational performance. Various strategic actions should be stimulated within the organisation to intensify the interrelation between these stages of acquisition, transfer, and utilisation of knowledge.     

Organisational leadership and/for sustainability: Future directions from John Dewey and social movements

In this paper, we suggest that organisational leadership that is based (generally) on a neoliberal paradigm has contributed to an ‘intolerable situation’ that was recognised at the United Nations (2015a) Paris Agreement on Climate Change. We, therefore, attempt to re-frame organisational leadership based on a sustainability paradigm. In doing so, we draw on John Dewey’s thinking on publics: due to the need for greater stakeholder involvement in identifying how sustainability could be achieved and increasing pressure from governments, campaigning groups and public opinion for organisations to expand their boundaries further to interact with, and take seriously, the needs of the communities that they affect. Then―and for the implementation of this re-frame and cognizant of the community requirement―we will offer that guidance may be drawn from the emerging social movements literature, specifically the importance of narration, mobilisation and organisation. Finally, we present a revised framework for organisational leadership that is based on this sustainability paradigm.     

Same same but different: managerial influences on organisational performance in foundations and associations

In the last few years the management orientation of nonprofit organisation (NPOs) has been gaining importance. Management is said to have made the organisation of NPOs more effective and efficient. However, the influence of the institutional settings is often neglected in nonprofit management literature. By using a quantitative empirical approach this study investigates the influence of the legal type of Swiss nonprofits on the relationship between management dimensions and organisational performance. The research findings reveal significant differences in the management of foundations and associations. In particular, foundations have a competitive advantage in terms of innovation and market orientation. Whereas associations profit from investing in governance issues.     

How Does Government Size and Structure Respond Empirically to Changes in its Organisational Environment?

Does government size and structure adapt to changes in government’s organisational environment (particularly to uncertainty and complexity) as predicted by organisational theory? We find – using a range of statistical analyses – support for each of the major theories of organisation adaptation (the contingency-based view, resource-based view, and the rational choice view). We find that both government size and structure change – holding other factors constant – for changes in the uncertainty and complexity of governments’ organisational environments. We find seven clusters of governments which adapt their organisational sizes differently in response to changes in the uncertainty and complexity of their organisational environments – and four clusters of governments with differing preferences for the way they adapt governmental structures. We also use the available data to divide governments according to the extent to which they adapt their organisational size and structure reactively (after changes occur in their organisational environment), contemporaneously or strategically (before these changes in their organisational environment occur).     

Business Performance Analytics: exploring the potential for Performance Management Systems

Business Performance Analytics (BPA) entails the systematic use of data and analytical methods (mathematical, econometric and statistical) for performance measurement and management. Although potentially overcoming some traditional diagnostic issues related to Performance Management Systems (PMS), such as information overload, absence of cause-effect relationships, lack of a holistic view of the organisation, research in the field is still in its infancy. A comprehensive model for operationalising analytics for diagnostic and interactive PMS is still lacking. Adopting an action research approach, this paper addresses this gap and develops a five-step framework applied to a company operating in the construction industry. The results show that in addition to encouraging dialogue, BPA can contribute to identifying critical performance variables, potential sources of risk and related interdependencies. A number of critical issues in implementing data-based approaches are also highlighted, including data quality, organisational competences and cultural shifts.     

Devising Context Sensitive Approaches To Change: The Example of Glaxo Wellcome

There is a growing awareness of the need for designers of organisational change to develop context sensitive approaches to implementation if change is to be successful. Existing change literature indicates that there are many aspects of an organisation’s change context that need to be considered, and a wide range of different implementation options open to those designing change. However, these contextual aspects and design options are not currently pulled together in a comprehensive manner, or in a form that makes them easily accessible to practitioners. This paper builds a framework, called the change kaleidoscope, which aims to achieve this. It illustrates the applicability of this framework in practice as an aid to managers in the development of context sensitive implementation approaches via a case study on the changes undertaken at Glaxo Wellcome UK since the early 1990s. This is an interesting case of a successful organisation that managed to change in a pro-active manner rather than in a crisis driven re-active manner. The paper concludes with the lessons for practitioners on the impact of certain contextual features and design choices during change as illustrated by the Glaxo Wellcome case, and a discussion on the use of the kaleidoscope in practice.     

Supply chain integration framework using literature review

Definitions and measures of supply chain integration (SCI) are diverse. More empirical research, with clear definition and appropriate measures are needed. The purpose of this article is to identify dimensions and variables for SCI and develop an integrated framework to facilitate this. A literature review of the relevant academic papers in international journals in Logistics, Supply Chain Management and Operations Management for the period 1995–2009 has been undertaken. This study reveals that information integration, coordination and resource sharing and organisational relationship linkage are three major dimensions for SCI. The proposed framework helps integrate both upstream suppliers and downstream customers with the focal organisation. It also allows measuring SCI using both qualitative and quantitative approach. This study encourages researchers and practitioners to identify dimensions and variables for SCI and analyses how it affects the overall supply chain (SC) performance in terms of efficiency and responsiveness. Although there is extensive research in the area of SCI, a comprehensive and integrated approach is missing. This study bridges the gap by developing a framework for measuring SCI, which enables any organisation to identify critical success factors for integrating their SC, measures the degree of integration qualitatively and quantitatively and suggest improvement measures.     

Expectations and the performance of governance functions between a board,management and other stakeholders: the case of Robotdalen

Previous research has called for an enhanced understanding of the dynamic and interactional aspects of board work in public sector governance. Using a longitudinal case study of Robotdalen, this paper attempts to meet this call through a processual and qualitative study of board work in public organisations. The aim of the paper is to enhance our understanding of the human side of governance and the interactions between a board, the management in the governed organisation and other stakeholders. We do this by addressing the theoretical concept of an expectations gap. The results demonstrated how funding regimes influence governance functions, structures and practices at the organisational level, and how internal actors such as managers also carry out governance functions. Moreover, the results show how an expectations gap shifts and changes over time. In this way we have contributed a more nuanced theoretical understanding of how the governance function is co-produced and the importance of understanding the expectations gap to further understand the dynamics of public sector board work.     

The impact of communicative efficiency on franchisee performance

The objective of this study is to examine how franchise network members can organize networking activities efficiently. Conceptualising the franchise organisation as a social network arrangement, this chapter argues that efficient resource transmission among franchisees is essential in the quest for competitive advantage and economic rents, and is the key to higher individual (and in aggregation, collective) performance. Thus, efficient exchange reinforces the superiority of the network form of organisation to alternative organisational designs. The study suggests that interfranchisee communication is the strategic means for efficient exchange. Hypotheses are tested on a sample of 121 fashion retail franchisees.     

Information system design,organisational control and optimality

The paper identifies the importance of the Model of the User which is implicit in the development of formal information systems. The nature of the model is examined with particular reference to social variables; the relation between the criterion function and organisational goals is also discussed. The paper concludes with some thoughts on the implications for the nature of an appropriate methodology for systems development, and for its role in the organisation.